The Fund is positioned as a medium to long-term investment and development fund, comparable to medium to long-term private equity funds. Operating on commercial basis, the Fund aims to ensure its own financial sustainability and achieve reasonable returns in the medium to long term.
The Belt and Road Initiative introduced by China is an open and inclusive international cooperation platform and a public good to the international community. The Fund does not confine its investments within certain geographical boundaries, and is ready to join any project as long as it facilitates connectivity, cooperation and mutual benefits.
With the mandate to promote high-quality cooperation under the BRI framework, the Fund has been pursuing cooperation with relevant countries and regions in the fields of infrastructure,energy and resources, industrial cooperation and financial cooperation. Meanwhile, the Fund actively explores opportunities in emerging sectors such as healthcare, green economy and digital economy. The Fund will participate in any projects that are congruent with its investment philosophy, with an aim to help destination countries enhance their development potential and achieve sustainable development.
The Fund has set up a Sustainable Investment Committee under the Board of Directors. The Committee's main responsibility is to guide the Fund to improve its sustainable investment management system in line with domestic regulations and international standards. The Committee is also responsible for drawing up the Fund’s policies, objectives, strategies and guidelines on sustainable development. It should also promote the Fund’s participation in developing and improving international framework and standards on sustainable investment cooperation in accordance with the latest concepts and practices. In coordination with the Investment Committee, which is responsible for making the Fund's investment decisions, the Sustainable Investment Committee should incorporate sustainability considerations into the investment decision-making process, especially those environmental, social and governance factors that have material impacts on investment targets.
The Fund uses a wide range of financial instruments, such as equity, debt, fund investment and hybrid financing to support sustainable investment. For example, as an anchor investor, the Fund has invested in a climate-themed fund initiated by an internationally renowned alternative manager, and has co-established a renewable energy platform with ACWA Power.
